SmartBrief
Confirm favorite deletion?
Commercial Law Keyed to Zierdt, 1st Ed.
DeGiacomo v. Raymond C. Green, Inc. (In re Inofin, Inc.)
Citation:
512 B.R. 19 (2014)Facts
Inofin was a licensed financial services company that purchased and serviced sub-prime automobile loans. Car dealers would sell vehicles to consumers with small down payments and finance the balance using Retail Installment Sales Agreements (“Installment Contracts”). The dealers then sold these Installment Contracts to Inofin pursuant to Seller Agreements and Partial Purchase and Assignment (PPA) agreements.
RCG and Inofin began their lending relationship in 1996 when RCG provided a $500,000 secured loan to Inofin. Over the next 15 years, RCG made additional loans to Inofin, with the outstanding balance reaching approximately $8 million by the time of Inofin’s bankruptcy. The parties executed various loan documents, including a Security Agreement dated April 17, 1996, which granted RCG a security interest in “all of the Debtor’s rights in and to chattel paper… and all motor vehicle installments sales contracts purchased by Debtor with the proceeds of loans from Secured Party and assigned and delivered to Secured Party.”
In October 2010, as Inofin faced financial difficulties, the parties executed a Loan Modification Agreement (LMA) that reduced the interest rate from 13% to 8%, eliminated Inofin’s entitlement to advances, and required Inofin to assign and deliver to RCG Installment Contracts with an outstanding balance equal to the greater of $10 million or 125% of the outstanding principal balance due to RCG.
On December 30, 2010, the Massachusetts Division of Banks issued a Cease and Desist Order against Inofin. In January 2011, RCG conducted two foreclosure sales of its collateral, bidding $4 million at each sale. On February 9, 2011, creditors filed an involuntary bankruptcy petition against Inofin.
Only StudyBuddy Pro offers the complete Case Brief Anatomy*
Access the most important case brief elements for optimal case understanding.
*Case Brief Anatomy includes: Brief Prologue, Complete Case Brief, Brief Epilogue
- The Brief Prologue provides necessary case brief introductory information and includes:
Topic:
Identifies the topic of law and where this case fits within your course outline.Parties:
Identifies the cast of characters involved in the case.Procedural Posture & History:
Shares the case history with how lower courts have ruled on the matter.Case Key Terms, Acts, Doctrines, etc.:
A case specific Legal Term Dictionary.Case Doctrines, Acts, Statutes, Amendments and Treatises:
Identifies and Defines Legal Authority used in this case.
- The Case Brief is the complete case summarized and authored in the traditional Law School I.R.A.C. format. The Pro case brief includes:
Brief Facts:
A Synopsis of the Facts of the case.Rule of Law:
Identifies the Legal Principle the Court used in deciding the case.Facts:
What are the factual circumstances that gave rise to the civil or criminal case? What is the relationship of the Parties that are involved in the case.Issue(s):
Lists the Questions of Law that are raised by the Facts of the case.Holding:
Shares the Court's answer to the legal questions raised in the issue.Concurring / Dissenting Opinions:
Includes valuable concurring or dissenting opinions and their key points.Reasoning and Analysis:
Identifies the chain of argument(s) which led the judges to rule as they did.
- The Brief Prologue closes the case brief with important forward-looking discussion and includes:
Policy:
Identifies the Policy if any that has been established by the case.Court Direction:
Shares where the Court went from here for this case.